!! History Commons Alert, Exciting News
Events: (Note that this is not the preferable method of finding events because not all events have been assigned topics yet)
Page 2 of 2 (127 events (use filters to narrow search))previous
Canada becomes the first country to ratify the UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions. Canada’s November 22 ratification comes just 33 days after the international instrument was adopted at the 33rd UNESCO General Conference in Paris, France. The prompt ratification meets a previous public commitment made by Minister of Canadian Heritage Liza Frulla, shortly after the November 22 adoption at the UNESCO Conference, that Canada would be the first to ratify the convention “ideally before Christmas [of 2005].” Frulla recalls at the signing ceremonies in Montreal on November 23, “some people gave me a very skeptical look [after I made that pronouncement], and thought I was dreaming in Technicolor.” But she points out that her resolve to make good the ratification commitment was matched by that of Canadian Prime Minister Paul Martin, who Frulla says “has always been a strong defender and promoter of this convention.” Frulla relates further: “[A]s soon as I got back, we triggered the process so that Canada could be in a position to ratify this convention.… And today we can say mission accomplished. Clearly, this is a great day for our artists, our culture, our cultural industries, and for our country.” Frulla, Martin, Quebec Minister of Culture and Communications Line Beauchamp, and Scott McIntyre and Pierre Curzi, co-chairs of Canada’s Coalition for Cultural Diversity, offer congratulations to each other at the Montreal ceremonies for the convention’s quick ratification in record time. [Coalition Update, 11/2005]
The IMF’s 24-member executive board approves a standby arrangement for a new $685 million loan for Iraq. The IMF previously provided the country with a $436.3 million emergency post-conflict loan in September 2004 (see September 29, 2004). The approval means that creditor nations will forgive an additional 30 percent of Iraq’s debt, all of which was incurred under the rule of Saddam Hussein. If Iraq fulfills the requirements in the standby arrangement, another 20 percent of its debt will be forgiven (see November 22, 2004). [Associated Press, 12/23/2005; Agence France-Presse, 12/23/2005] One of the reforms required by the stand-by arrangement is that Iraq work with the IMF on the drafting of an oil law to be implemented by the end of 2006. [Bretton Woods Project, 1/23/2006] The agreement states that Iraq needs to “draft a new petroleum law in line with the new constitution and international best practices, thereby defining the fiscal regime for oil and establishing the contractual framework for private investment in the sector.” It adds that IMF staff have underscored “the need to press ahead with structural fiscal reforms,” which include “the move forward toward the commercialization of oil-related state enterprises, and the drafting of a new petroleum law.” [International Monetary Fund, 12/7/2005, pp. 18 ]
Members of the Local 22 of the National Education Workers Union (SNTE) delivers a list of economic grievances to Ulises Ruiz Ortiz, the governor of the Mexican state of Oaxaca. After receiving no official response, hundreds of teachers start to encamp themselves in the state’s historical center with the support of numerous anti-neoliberal organizations. The movement manages to block five access ways to the Oaxaca international airport on June 1 and attract a “mega-march” of around 80,000 people the next day. [GonzÃ¡lez and Baeza, 7/2007]
About 2,000 state police attempt to evict the striking teachers from the Oaxacan city square “wielding clubs and firing tear gas.” They fail as the protestors quickly resume their positions but manage to injure at least 66 people. The teachers accuse the police forces of killing four; the Mexican national human rights commission will allege that they also “beat sleeping teachers with truncheons.” [Agence France-Presse, 6/14/2006; Los Angeles Times, 6/19/2006; GonzÃ¡lez and Baeza, 7/2007]
The Popular Assembly of the Peoples of Oaxaca (APPO) is formed in response to the recent crackdown. It is “comprised of around 365 social, political, human rights, non-governmental, environmental, gender, student, and union organizations, the indigenous communities, and thousands of independent Oaxacans.” Its main goal is the ouster of “the fascism personified in the state governor,” Ulises Ruiz Ortiz. [GonzÃ¡lez and Baeza, 7/2007]
US Energy Secretary Samuel Bodman, on a visit to Baghdad, refers to the drafting of a new oil that is underway and says it is important that the Iraqi Parliament—which apparently is not involved in the drafting process—pass it soon. [Time, 2/28/2007] Iraq needs to “pass a new law, a new hydrocarbon law under which international companies will be able to make investments in Iraq,” he says. Opening up Iraq’s oil industry will help Iraq realize “its very considerable potential with the benefit of investments from the international community.” He adds that Prime Minister Nuri al-Maliki, along with the oil and electricity ministers, are “optimistic of passing that law by the parliament and they hope to pass such a law by end of this calendar year.” He says that US oil companies won’t consider investing in Iraq’s oil sector until “first there is security and second there is a hydrocarbon law that will delineate the rules of the road.” [Agence France-Presse, 7/18/2006]
A committee made up of ministers and politicians from the main Shiite, Sunni Arab, and Kurdish blocs begins final negotiations on a proposed oil law that will govern the development of Iraq’s oil sector. The latest draft of the oil law was completed several months ago (see July 2006). While Iraqi legislators have yet to see law, it has already been reviewed by the US government and major oil companies (see July 2006), as well as the International Monetary Fund (see September 2006). According to the New York Times, “Gen. George W. Casey Jr., the senior American commander here, and Zalmay Khalilzad, the American ambassador, have urged Iraqi politicians to put the oil law at the top of their agendas, saying it must be passed before the year’s end.” The major issue of contention concerns how oil revenue will be distributed. Most Sunni communities are located in provinces where there is little or no oil. Consequently, they are arguing that revenue should be controlled by the central government and then distributed equitably among Iraq’s provinces. Their position is supported by the Shiites. But the Kurds, who live in the oil-rich north, strongly disagree arguing that the constitution guarantees the regions absolute authority in those matters. [New York Times, 12/9/2006]
Oxfam publishes a report concluding that poor people in developing nations are dying needlessly because drug companies and the governments of certain wealthy nations are putting a higher priority on defending intellectual property rights than protecting human life. According to the report, the United States has used free-trade agreements and threats of sanctions to prevent countries from producing and distributing low-cost generic drugs in order to preserve the monopolies of large drug companies. Likewise, the drugs makers themselves are pushing countries to prevent the sale of cheaper drugs. “Pfizer is challenging the Philippines government in a bid to extend its monopoly on Norvasc, a [blood] pressure drug. Novartis is engaged in litigation in India to enforce a patent for Glivec, a cancer drug, which could save many lives if it were available at generic prices,” the Guardian reports. The Oxfam report says that efforts to block the poor’s access to affordable medicine undermines the five-year old Doha declaration, which sought to improve poor countries’ access to cheap drugs. “[R]ich countries have failed to honor their promises. Their record ranges from apathy and inaction to dogged determination to undermine the declaration’s spirit and intent. The US, at the behest of the pharmaceutical industry, is uniquely guilty of seeking ever higher levels of intellectual property protection in developing countries,” the report says. [Guardian, 11/14/2006; Oxfam, 11/14/2006 ]
Robert Gates. [Source: US Defense Department]In its final report, the Iraq Study Group (ISG) recommends significant changes to Iraq’s oil industry. The report’s 63rd recommendation states that the US should “assist Iraqi leaders to reorganize the national oil industry as a commercial enterprise” and “encourage investment in Iraq’s oil sector by the international community and by international energy companies.” The recommendation also says the US should “provide technical assistance to the Iraqi government to prepare a draft oil law.” [Iraq Study Group, 2006, pp. 57 ] The report makes a number of recommendations about the US occupation of Iraq, including hints that the US should consider moving towards a tactical withdrawal of forces from that beleaguered nation. President Bush’s reaction to the report is best summed up by his term for the report: a “flaming turd.” Bush’s scatological reaction does not bode well for Secretary of State Condoleezza Rice’s own hopes that the administration will use the ISG report as a template for revising its approach to Iraq. This does not happen. Instead, Vice President Dick Cheney organizes a neoconservative counter to the ISG’s recommendations, led by the American Enterprise Institute’s Frederick Kagan. Kagan and his partner, retired general Jack Keane, quickly formulate a plan to dramatically escalate the number of US troops in Iraq, an operation quickly termed “the surge” (see January 10, 2007). The only element of the ISG report that is implemented in the Bush administration’s operations in Iraq is the label “a new way forward,” a moniker appropriated for the surge of troops. Administration officials such as Rice and the new defense secretary, Robert Gates, quickly learn to swallow their objections and get behind Bush’s new, aggressive strategy; military commanders who continue to support elements of the ISG recommendations, including CENTCOM commander General John Abizaid and ground commander General George Casey, are either forced into retirement (Abizaid) or shuttled into a less directly influential position (Casey). [Salon, 1/10/2007]
Entity Tags: American Enterprise Institute, Condoleezza Rice, Frederick Kagan, Iraq Study Group, Robert M. Gates, Jack Keane, George Casey, Richard (“Dick”) Cheney, George W. Bush, John P. Abizaid
Timeline Tags: Events Leading to Iraq Invasion, Iraq under US Occupation
Changes are again made to the draft of the proposed Iraqi oil law. [Asia Times, 2/28/2007] According to this draft:
Foreign corporations would have access to nearly every sector of Iraq’s oil and natural gas industry, including service contracts on existing fields that are already being managed and operated by the Iraqi National Oil Company (INOC). For fields that have been discovered, but which are not currently being developed, the law would require INOC to be a partner in developing these fields. But the new oil law does not require participation of the INOC or any private Iraqi companies in contracts for fields that have not yet been discovered. In such cases, the new law would permit foreign companies to have full access. [Iraqi Council of Ministers, 2/2007; Inter Press Service, 2/28/2007; Asia Times, 2/28/2007]
Companies contracted to develop oil fields would be given exclusive control of fields for up to 35 years, and would be guaranteed profits for 25 years. Foreign companies would not be required to partner with an Iraqi company or reinvest any of its profits in the Iraqi economy. Nor would they have to employ or train Iraqi workers, or engage in any other effort to transfer technology and skills to the Iraqis. [Iraqi Council of Ministers, 2/2007; Asia Times, 2/28/2007]
An Iraqi Federal Oil and Gas Council would be established and given the ultimate decision-making authority in determining what kinds of contracts could be used to develop Iraq’s oil and what would be done with the existing exploration and production contracts already signed with French, Chinese, Russian, and other foreign companies. The law states that council members would include, among others, “executive managers from important related petroleum companies.” As an article in the Asian Times notes, “[I]t is possible that foreign oil-company executives could sit on the council. It would be unprecedented for a sovereign country to have, for instance, an executive of ExxonMobil on the board of its key oil-and-gas decision-making body.” There is no language in the law that would prevent foreign corporate executives sitting on the council from making decisions about their own contracts. And there is no requirement that a quorum be present when making decisions. The Asian Times article notes, “Thus, if only five members of the Federal Oil and Gas Council met—one from ExxonMobil, Shell, ChevronTexaco and two Iraqis—the foreign company representatives would apparently be permitted to approve contacts for themselves.” The new law does not specify what kind of oil agreements could be signed between Iraq and private firms to develop Iraq’s oil. Rather it leaves this question to the council, which would be permitted to approve and rewrite contracts using whatever type is agreed upon by a “two-thirds majority of the members in attendance.” Previous drafts of the law had specifically mentioned production sharing agreements (PSAs), a controversial type of contract that is favored by the oil companies. [Asia Times, 2/28/2007] That model, favored by the US and by oil companies, was opposed by many Iraqis, including Iraqi oil professionals, engineers, and technicians in the unions. The Iraqis prefer technical service contracts, like the ones used in Kuwait, Saudi Arabia, and Iran. Under such contracts foreign companies would be allowed to participate in the development of oil fields, but only for a limited time. [Democracy Now!, 2/20/2007] The companies would be paid to build a refinery, lay a pipeline, or offer consultancy services, but then would leave afterwards. This type of arrangement would help transfer technical expertise and skills to Iraqis. “It is a much more equitable relationship because the control of production, development of oil will stay with the Iraqi state,” notes Ewa Jasiewicz, a researcher at PLATFORM, a British human rights and environmental group that monitors the oil industry. She notes that no other country in the Middle East that is a large oil producer would ever sign a PSA because it’s “a form of privatization and… it’s not in their interests.” Critics also note that the signing of PSA agreements with US oil companies would add fuel to the unrest in Iraq and that the US would attempt to legitimize its continuing presence in Iraq with assertions about the need to safeguard US business interests. [Inter Press Service, 2/28/2007]
Iraq’s national government would not have control over production levels. Rather, the contractee developing a field—e.g., the INOC, or a foreign or domestic company—would be able to decide how much oil to produce. However, the document does say: “In the event that, for national policy considerations, there is a need to introduce limitations on the national level of petroleum production, such limitations shall be applied in a fair and equitable manner and on a pro rata basis for each contract area on the basis of approved field-development plans.” But it does not specify who has the authority to introduce such nation-wide limitations or how production levels might be lowered in a “fair and equitable manner.” The language appears to signify that Iraq would no longer work with OPEC or other similar organizations. [Iraqi Council of Ministers, 2/2007; Asia Times, 2/28/2007]
Oil revenues would be distributed to all of Iraq’s 18 provinces according to their population sizes. Regional administrations, not Iraq’s central government, would have the authority to negotiate contracts with foreign oil companies, monitor contracts, and deal with small disputes. But the ultimate authority would lie with the Federal Oil and Gas Council which would be able to veto decisions made by regional authorities. Critics say this arrangement almost encourages the split of Iraq into three different regions or even three different states. According to Raed Jarrar, Iraq Project Director for Global Exchange, a situation like this would mean that “Iraqis in different provinces will start signing contracts directly with foreign companies and competing between themselves, among themselves, among different Iraqi provinces, to get the oil companies to go… there without any centralized way in controlling this and thinking of the Iraqi interest and protecting Iraq as a country.” [Iraqi Council of Ministers, 2/2007; Inter Press Service, 2/28/2007]
The UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions enters into force. In accordance with the ratification procedure, this happens three months after 30 countries deposited their instruments of ratification at UNESCO. UNESCO Director General Koichiro Matsuura notes, “None of UNESCO’s other cultural conventions has been adopted by so many states in so little time.” The 30 countries are Albania, Austria, Belarus, Bolivia, Bulgaria, Burkina Faso, Cameroon, Canada, Croatia, Denmark, Djibouti, Ecuador, Estonia, Finland, France, Guatemala, India, Lithuania, Luxembourg, Madagascar, Mali, Malta, Mauritius, Mexico, Monaco, Namibia, Peru, the Republic of Moldova, Romania, Senegal, Slovakia, Slovenia, Spain, Sweden, and Togo. By the time it comes into force, 22 more countries have deposited their ratification instruments at UNESCO. [UNESCO, 3/2007]
Iraqi Vice President Tariq al-Hashemi says he opposes the oil law (see February 15, 2007) because it gives too many concessions to foreign oil companies. “We disagree with the production sharing agreement,” he tells reporters attending an international conference in Jordan that is hosted by the Geneva-based World Economic Forum. “We want foreign oil companies, and we have to lure them into Iraq to learn from their expertise and acquire their technology, but we shouldn’t give them big privileges,” he explains. [Associated Press, 5/21/2007]
In a phone call with Iraqi Prime Minister Nouri al-Maliki, President George Bush reportedly says Iraq needs to produce “tangible results quickly” on the oil law and other legislation if it wants to count on continued support from the US government. [Associated Press, 5/22/2007]
Mahmoud Uthman, a Kurdish member of Iraq’s parliament, says lawmakers are not ready to pass the oil law because of the “obscurity of some sections of the proposed draft law, the most important of which are those concerning oil imports and the mechanism of their distribution.” He also says that the law was “made to serve US interests” and that the US is putting “very strong” pressure on Iraqi leaders to speed its passage. [AXcess News, 5/22/2007] “The Americans are pressuring us to accept the oil law. Their pressure is very strong. They want to show Congress that they have done something so they want the law to be adopted this month. This interference is negative and will have consequences,” he says. [Associated Press, 5/22/2007]
Coinciding with the publication of the first article in a series in Britain’s Sunday Times covering some of her allegations (see Mid-Late 1990s, (1997-2002), 2000-2001, Summer 2000, Summer 2001 and After September 11, 2001), former FBI translator Sibel Edmonds posts a gallery of 18 photos of people and three images of question marks on her website, justacitizen.com (see August 8, 2009). The 21 images are divided into three groups, and the page is titled “State Secrets Privilege Gallery.” No other explanation of the images is given, and the photos include no names or captions. [Sibel Edmonds, 1/6/2008] Luke Ryland, a blogger who has been closely following Sibel Edmonds’s case, posts an entry on his blog titled “Sibel ‘names names’ (in pictures!),” in which he puts names to the faces, and says, “we can reasonably presume that they are the 21 guilty people in her case.” Ryland notes that the three groups correspond to the affiliations of the people in the photos: “The first group contains current and former Pentagon and State Department officials”: Richard Perle, Douglas Feith, Eric Edelman, Marc Grossman, Brent Scowcroft, and Larry Franklin. “The second group is current and former congressmen”: Ex-House Speaker Dennis Hastert (R-IL), Roy Blunt (R-MO), Dan Burton (R-IN), Tom Lantos (D-CA), ? (box with question mark), Bob Livingston (R-LA), a former House speaker, and Stephen Solarz (D-NY). “The third group includes people who all appear to work at think tanks—primarily WINEP, the Washington Institute for Near East Policy”: Graham E. Fuller—RAND Corporation, David Makovsky—WINEP, Alan Makovsky—WINEP, ? (box with question mark), ? (box with question mark), Yusuf Turani (president-in-exile, Turkestan), Professor Sabri Sayari (Georgetown, WINEP), and Mehmet Eymur (former head of the Turkish intelligence agency MIT). [Luke Ryland, 1/6/2008]
Entity Tags: Tom Lantos, Sibel Edmonds, David Makovsky, Dan Burton, Brent Scowcroft, Bob Livingston, Alan Makovsky, Dennis Hastert, Stephen Solarz, Douglas Feith, Graham Fuller, Sabri Sayari, Roy Blunt, Richard Perle, Marc Grossman, Luke Ryland, Eric Edelman, Yusuf Turani
Timeline Tags: Complete 911 Timeline
Nofa Khadduri, an Iraqi peace activist now studying at the University of Toronto, writes an op-ed for the Arabic news network al-Jazeera that terms the Iraq war, and the subsequent occupation, “corporate genocide.” Khadduri writes: “I cannot say this is a war like any other, or even that it is a just war. This war has been too long, too painful, too costly, too evil, too inhumane, and too unjust to simply be deemed an invasion, or even worse, a liberation.… I want this war to be recognized for what it truly is—a genocide against the Iraqi people. It is a corporate hate crime. It is not a ‘just’ war. It does not have a ‘just’ cause. It lacks legitimate authority, it was executed with all the wrong intentions, it was certainly not a last resort, the probability of success was slim.… If the international community recognizes the conflicts in Bosnia, Armenia, and Rwanda as genocides where human rights are replaced with the extermination of ethnic groups, then Iraq deserves the same recognition—and more.”
'Corporate Genocide' in Iraq - Khadduri explains the term “corporate genocide” as something new and horrifyingly different. “Corporate genocide is the mass cooperation of a business-led military invasion, where a population is sacrificed for the economic profit of the invader. A corporate genocide goes beyond blind hate and killing innocent civilians to gain power and territory. In pursuing its economic strategies, the US has caused the death and injury, deliberate or not, of millions of Iraqis.… Foreign businesses that profit and thrive on war have gained new power in Iraq, but lack accountability. Private security firms have little motivation to promote peace—though it is their job—and to end this genocide. Terrorizing my people puts bread in their mouths and takes it away from the mouths of starving Iraqi children. Our war is their income. To keep the money flowing, private security firms dehumanize Iraqi resistance and rebel groups by labeling them as terrorists. The international propagation of this portrayal is one element in the structuring of a corporate genocide. Another is the inability of neither international law nor the international community to hold these firms accountable for their actions, including their killings of innocent people. Individuals perceived to be a threat to the firm are treated as such and can be disposed of under the false guise of an attack, leaving the firms unaccountable. And because these firms have power, they can easily deny misusing it and be believed, if they admit to using it at all.”
Pretense of Democracy, Humanitarian Aid - Khadduri writes that the US has achieved little towards implementing democracy in Iraq. It has assuaged little of the suffering caused by the invasion and occupation, and the subsequent civil war raging in parts of the country. This, he writes, is not a failure of US policy, but an effect of the policy. “Iraqi natural resources are being distributed and scattered among the most powerful corporations, with very little profit earmarked towards the rebuilding of Iraq,” he writes. “This is what the corporate genocide is about. There is much debate about whether Iraq can stand on its own after the departure of the US Army. But it is crucial to keep in mind that the US never held Iraq up as a country and it never helped Iraqis come together as a nation.”
Leaving Iraq to Shape Its Own Future - The US will never impose its own form of government on Iraq, Khadduri asserts, stating: “I said it five years ago and repeat it now: a Western-style democracy cannot be forced on a nation that does not welcome it. To not believe that we, the Iraqi people, will establish a form of government that we see fit for our needs, by ourselves, is an insult to the Iraqi solidarity and historical heritage that has always, continues to, and will never cease to exist.” [Al-Jazeera, 3/18/2008]
Wall Street Journal editorial board member Stephen Moore, appearing as a guest on Fox News host Glenn Beck’s show, compares Social Security to “a big Ponzi scheme.” Moore and Beck are discussing the issue of the US debt, and Moore compares the cycle of different government agencies buying and selling portions of the debt to one another to Social Security, saying: “It’s very much like the way Social Security works. It’s a big Ponzi scheme. It’s like a big vault of IOUs.” [Media Matters, 2/2/2009; Media Matters, 9/7/2010] Beck will later call Social Security a “Stalinist” program designed to forcibly redistribute wealth to poorer citizens (see January 27, 2010).
President Obama names Earl Devaney to head the new Recovery Act Transparency and Accountability Board, a new agency designed to oversee the allocation and spending of the $787 billion economic stimulus plan. Devaney is a former Secret Service agent who, as the inspector general of the Department of the Interior, helped expose lobbyist corruption there; he will work closely with Vice President Joseph Biden, who will coordinate oversight of the stimulus spending. Devaney helped expose Republican lobbyist Jack Abramoff’s dealings with the Interior Department, and helped finger former Deputy Interior Secretary Steven Griles, who later pled guilty to charges of lying to Congress over his acceptance of bribes. Devaney also led an investigation of workers at the Interior Department’s Minerals Management Service, where he discovered what he called a “culture of substance abuse and promiscuity” at the Denver and Washington offices of the service. [Associated Press, 2/22/2009]
John Boehner (R-OH), the House Minority Leader, calls on the Obama administration to implement a freeze on government spending, and for President Obama to veto a $410 billion spending bill. Boehner says recent spikes in unemployment figures are a sign of a worsening recession, and the only way to address the recession is to freeze government spending until the end of the fiscal year. He calls the spending bill, crafted in December with input from Congressional Democrats and Republicans as well as from the Bush White House, full of wasteful “earmarks” and “pork.” [Associated Press, 3/6/2009] Boehner introduces a resolution calling for the freeze in the House; it fails, even though all House Republicans present for the vote and eight Democrats vote for it. [Human Events, 3/6/2008] Two days after Boehner’s call for a spending freeze, conservative columnist David Brooks calls the proposal “insane” and blames the influence of conservative talk show host Rush Limbaugh for the idea. Brooks says that Limbaugh and the Republican Party is fixated on repeating a Reagan-era economic agenda. “The problem with them and the problem with Limbaugh in terms of intellectual philosophy is they are stuck with Reagan,” Brooks says. “They are stuck with the idea that government is always the problem. A lot of Republicans up in Capitol Hill right now are calling for a spending freeze in a middle of a recession/depression. That is insane. But they are thinking the way they thought in 1982, if we can only think that way again, that is just insane. And there are a lot of Republicans like David Frum… who are trying to say Reagan was right for his era, but it is time to move on. And there are just not a lot of them on Capitol Hill right now, and I think the party is looking for that kind of Republican.” [Huffington Post, 3/8/2009]
Fox News host Sean Hannity and former House Speaker Newt Gingrich (R-GA) join to accuse President Obama of attempting to impose a “dictatorship” in America. Discussing the Obama administration’s plans to implement new financial regulations and oversight, Hannity begins by accusing Obama of “mov[ing] America down the road to socialism.” He asks Gingrich to “explain” to the audience “how dangerous this power grab is.” Gingrich responds: “We are seeing the biggest power grab by politicians in American history. The idea that they would propose that the treasury could intervene and take over non-bank, non-financial system assets gives them the potential to basically create the equivalent of a dictatorship.… Look, it absolutely moves it towards a political dictatorship.” [Think Progress, 3/26/2009]
House Minority Leader John Boehner (R-OH) produces a Republican alternative to the Obama administration’s $3.6 trillion budget proposal. Calling President Obama’s budget “completely irresponsible,” Boehner holds up a booklet on the floor of the House and says: “Two nights ago the president said, ‘We haven’t seen a budget yet out of Republicans.’ Well, it’s just not true because—Here it is, Mr. President.” Boehner calls the booklet a “blueprint for where we’re going.” However, the booklet contains almost no details and no actual numbers; the Associated Press calls it “a glossy pamphlet short on detail.” Boehner’s House colleague Paul Ryan (R-WI) says more details will be revealed next week. “We’re going to show a leaner budget, a budget with lower taxes, lower spending, and lower borrowing,” Ryan says. “Our plan curbs spending, creates jobs, and cuts taxes, while reducing the deficit,” says Boehner. When asked about specifics, including where the cuts would come from, Boehner tells a reporter, “We’ll wait and see next week.” [CNN, 3/26/2009; Associated Press, 3/27/2009]
Cutting Deficits, Lowering Taxes for Wealthy Americans and Working Class - The proposal does not specify how it would reduce the federal deficit. It does advocate heavy cuts in domestic spending and lowering tax rates: the Republicans propose reducing the 35 percent, 33 percent, and 28 percent tax brackets to 25 percent, which would result in significant tax cuts for wealthier Americans. The proposal would also reduce the tax rate for those making below $100,000 to 10 percent. Liberal analyst Matthew Yglesias notes, “It’s strange that the Republicans railing about long-term deficits seem to love long-term deficits when the point of the deficits is to further enrich the rich.” [Think Progress, 3/26/2009]
No Actual Numbers - Representative Mike Pence (R-IN) says “[i]t’s not likely” that the GOP budget will be adopted. However, Pence says he believes “that a minority in Congress plus the American people equals the majority.” Pence adds, “We intend to take our case for fiscal discipline, growth, and tax relief to the American people from sea to shining sea and if the American people will rise up, anything is possible on Capitol Hill.” White House press secretary Robert Gibbs laughs at the Republicans’ budget proposal, noting that the blueprint contains more pictures of windmills than charts. “It’s interesting to have a budget that doesn’t contain any numbers,” he says. “I think the ‘party of no’ has become the ‘party of no new ideas.‘… The administration is glad that the Republicans heard the president’s call to submit an alternative,” he says. “We just hope that next time it will contain actual numbers so somebody can evaluate what it means.” Obama’s proposal is likely to be modified by more conservative Democrats in the upcoming days. Senate Republicans later say that they do not intend to submit a specific alternate proposal to Obama’s budget, a decision that the Associated Press notes “spares them the need to make politically difficult choices.” [CNN, 3/26/2009; Associated Press, 3/27/2009] Asked about the proposal’s effect on the federal deficit by MSNBC correspondent Norah O’Donnell, Pence is unable to answer the question. O’Donnell asks: “So you don’t have the numbers now? About what your plan would be in terms of how it would cut the deficit or add to the deficit? You don’t have any numbers on that?” Pence attempts to duck the question: “Well, it’s really a broad—when the White House a few minutes ago was attacking the numbers in this bill, the tax cut numbers. There’s plenty of numbers in the Republican recovery plan. And we just really believe the president’s plan to raise taxes by nearly 2 trillion dollars on almost every American… deserves a debate on Capitol Hill.” O’Donnell responds, “[H]ow is your plan credible?” Pence replies: “Well, I thought through this morning, we didn’t have a plan, so it may be progress our plan is being attacked.… This is the broad outline.” [Think Progress, 3/26/2009]
'Marketing Document' - Five days later, Ryan will admit that the “budget proposal” being offered by Boehner is nothing more than a “marketing document” (see April 1, 2009).
Tom Raum, a reporter and analyst for the Associated Press (AP), calls Social Security “a giant federal Ponzi scheme” destined to “bury… the nation ever deeper in debt.” Raum then writes: “Although calling Social Security a Ponzi scheme—think of the huge frauds that sent billionaires Bernard Madoff (see August 14, 2009) and R. Allen Stanford to prison—may be a bit of a stretch, there is one clear similarity. As in a Ponzi scheme, the concept works fine at first. So long as there are more new ‘investors’ pumping money into the system to pay off the earlier ones, everyone is happy. But at some point not enough new money is coming in and the scheme collapses.” Raum claims that Social Security system trustees have reported that by 2016, money paid out in benefits will exceed the revenues flowing in, and in 2037, the system will be entirely penniless. Thusly, Raum writes, Social Security “is projected to go insolvent in 2017.” [Associated Press, 8/16/2009] (The Raum article is reprinted over several days by different press outlets, but according to progressive media watchdog organization Media Matters, originally appears on August 12.) [Media Matters, 8/12/2009] However, the trustees did not say what Raum claims they said. In their May 12, 2009 report, the trustees said that the Social Security trust fund, not Social Security itself, will be completely depleted in 2037. And after that happens, according to the trustees, revenue from payroll taxes will be sufficient to pay about three-quarters of scheduled Social Security benefits through 2083: “Under the intermediate assumptions, the OASDI cost rate is projected to increase rapidly and first exceed the income rate in 2016, producing cash-flow deficits thereafter. Redemption of trust fund assets will allow continuation of full benefit payments on a timely basis until 2037, when the trust funds are projected to become exhausted. This redemption process will require a flow of cash from the general fund of the Treasury. Pressures on the federal budget will thus emerge well before 2037. Even if a trust fund’s assets are exhausted, however, tax income will continue to flow into the fund. Present tax rates are projected to be sufficient to pay 76 percent of scheduled benefits after trust fund exhaustion in 2037 and 74 percent of scheduled benefits in 2083.” The Associated Press accurately reported on the trustees’ report the same day it was issued. [Administration, 5/12/2009 ; Associated Press, 5/12/2009; Media Matters, 8/12/2009] Stephen Moore of the Wall Street Journal made a similar claim to Raum’s in February (see February 2, 2009).
Eric Bolling, a host on Fox Business Channel, appears as a guest on Fox News’s The Live Desk, where he attacks Social Security as a “Ponzi scheme.” Bolling explains that a lack of increase in July’s Consumer Price Index (CPI) means that Social Security benefits also fail to increase, but then shifts into a claim that Social Security is “underfunded or almost unfunded.… People are paying into Social Security. That money’s being used to pay for seniors right now, so, it’s kinda like a Ponzi scheme.… They should rename it the Madoff Social Security system, because down the road, there’s not going to be enough money.” Bolling is making reference to Wall Street financier Bernie Madoff, who stole billions of dollars from clients through a web of fraudulent schemes. [Media Matters, 8/14/2009; Media Matters, 9/7/2010] In February, the Wall Street Journal’s Stephen Moore made a similar claim (see February 2, 2009). And an Associated Press reporter made a similar claim two days before Bolling (see August 12-16, 2009).
Fox News host Glenn Beck says that Social Security and Medicare are “socialist” programs that “should have never been created.” Beck tells his viewers: “Do you think programs like Social Security and Medicare represent socialism and should have never been created in the first place?… I’m an American. I read. I believe in the Constitution. And, of course, Social Security and Medicare represent socialism and should have never been created. Since FDR and his progressive buddies started Social Security, not our Founding Fathers, that should be fairly obvious to people.” Beck tells his viewers that Social Security was created by Harry Hopkins, an adviser to then-President Franklin Roosevelt who, Beck says, “had a relationship with [Josef] Stalin,” the then-dictator of the Soviet Union. Therefore, Beck says, Social Security is a Stalinist “redistribution of wealth” program that is inherently Marxist in its nature. [Media Matters, 1/27/2010; Media Matters, 9/7/2010] Beck’s allegation that Hopkins was some sort of “Stalinist” is false. The allegation originally came from KGB defector Oleg Gordievsky, who wrote a sensationlist book, KGB: The Inside Story, where he alleged Hopkins was “an unconscious spy” for the Soviet Union during World War II. In reality, Hopkins was the top official in the Roosevelt administration charged with dealing with Soviet officials during World War II. His job involved explaining American policies and positions to Stalin and other top Soviet officials. Since Soviets who spoke to Hopkins routinely reported the contacts to the Soviet national security agency, the NKVD, Hopkins was listed as a “source” or “agent” of information for Moscow. No evidence has ever surfaced that Hopkins provided any classified or unauthorized information to the USSR, or in any way worked to advance the cause of Soviet Communism. [New York Times, 10/28/1990]
Fox News host Glenn Beck, touting his “Plan” for government entitlement spending, tells his viewers: “Tomorrow, we’re going to roll up our sleeves and begin. We’re going to cut health care. Right now, Medicare, Medicaid, and Social Security are 40 percent of our budget. They’re going away. It’s going to be ugly, a lot of crying, but America needs a cure.” [Media Matters, 4/12/2010; Media Matters, 9/7/2010]
Conservative pundit and columnist Tucker Carlson says it is “unfortunate” that Republicans won’t “state unequivocally” that they “want to do away with” Medicare and “most” Social Security. Carlson, a guest on Fox News talk show host Sean Hannity’s broadcast, is asked by another guest, Fox News contributor Bob Beckel, “Why don’t you just state unequivocally that you want to do away with Medicare, which is what the Republicans want to do, and do away with most Social Security?” Carlson replies: “Unfortunately, they don’t. Unfortunately, they don’t. Unfortunately, most Republicans in positions of elected authority are unwilling to—are unwilling to look right in the camera and say, ‘We’re going to have to pull back on entitlements.’” [Media Matters, 9/7/2010]
On Fox News’s business show Bulls and Bears, Fox Business Channel host Eric Bolling tells viewers that he is glad young Americans will not have Social Security and will have to work instead of relying on what he calls that “Ponzi scheme” of a program. When Bolling calls Social Security a “Ponzi scheme,” the host and four other guests laugh and call out approving statements; host Brenda Buttner shouts repeatedly, “I love his show!” Bolling says that it is good young people “realize they’re not going to be able to suck at the teat of the nanny state too much longer, get off their butt, work, put some money away, and not have to rely on a system that’s gonna fold, probably by the time they get to collect a check.” [Media Matters, 7/24/2010; Media Matters, 9/7/2010] In February 2009, the Wall Street Journal’s Stephen Moore made a similar claim (see February 2, 2009).
Page 2 of 2 (127 events (use filters to narrow search))previous
Receive weekly email updates summarizing what contributors have added to the History Commons database
Developing and maintaining this site is very labor intensive. If you find it useful, please give us a hand and donate what you can.
If you would like to help us with this effort, please contact us. We need help with programming (Java, JDO, mysql, and xml), design, networking, and publicity. If you want to contribute information to this site, click the register link at the top of the page, and start contributing.